INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Components of Income Tax Expense (Benefit) from Continuing Operations

Income tax expense from continuing operations includes the following components (in thousands):

	Year Ended December 31,
	2020			2019			2018
Current tax
Federal	$	49,053		$	37,134		$	43,027
State		8,171			5,384			4,568
Total current tax expense		57,224			42,518			47,595
Deferred tax
Federal		(4,045	)		(177	)		(19,355	)
State		(791	)		24			(906	)
Total deferred tax benefit		(4,836	)		(153	)		(20,261	)
Total tax expense	$	52,388		$	42,365		$	27,334

Components of Income Tax Expense (Benefit) from Discontinued Operations

Income tax expense from discontinued operations includes the following components (in thousands):

	Year Ended December 31,
	2020		2019		2018
Current tax
Federal	$	—	$	—	$	(154	)
State		—		—		(16	)
Total current tax benefit		—		—		(170	)
Deferred tax
Federal		—		—		—
State		—		—		—
Total deferred tax benefit		—		—		—
Total tax benefit	$	—	$	—	$	(170	)

Reconciliation Between Income Tax Expense and Amount Computed by Applying Federal Statutory Tax Rate from Continuing Operations

The reconciliation between the income tax expense and the amount computed by applying the statutory federal tax rate of 21% for income from continuing operations before income taxes is as follows (in thousands):

	Year Ended December 31,
	2020			2019			2018
Statutory federal income tax expense	$	71,167		$	60,053		$	46,955
Tax-exempt interest income		(20,914	)		(18,725	)		(15,525	)
Tax-exempt life insurance related income		(3,420	)		(4,007	)		(1,744	)
Meals, entertainment and related expenses		924			1,647			1,547
State and local income taxes, net of federal tax benefits		5,835			4,273			2,767
Impacts related to the 2017 Tax Act		—			—			(4,974	)
Equity-based compensation		(299	)		(597	)		(2,364	)
Federal tax credits, net of amortization of LIHTC investments		(1,772	)		(980	)		(1,135	)
Other		867			701			1,807
Total tax expense	$	52,388		$	42,365		$	27,334

Components of Deferred Tax Assets and Liabilities

The significant components of deferred tax assets and liabilities are reflected in the following table (in thousands):

	December 31,
	2020			2019
Deferred tax assets:
Loans, principally due to allowance for credit losses	$	52,583		$	23,765
Equity-based compensation		6,293			5,809
Accrued expenses		19,878			12,471
Deferred compensation		14,830			14,234
Miscellaneous		6,471			6,499
Total deferred tax assets before valuation allowance		100,055			62,778
Valuation allowance		(3,278	)		(2,332	)
Total deferred tax assets		96,777			60,446
Deferred tax liabilities:
Net unrealized gain on securities available for sale		(97,434	)		(29,668	)
Securities		(13,462	)		(23	)
Land, buildings and equipment		(41,339	)		(32,382	)
Original issue discount		(1,969	)		(2,455	)
Partnership investments		(6,948	)		(2,091	)
Trust preferred securities		(7,538	)		(7,833	)
Intangibles		(15,215	)		(12,503	)
Miscellaneous		(8,430	)		(3,669	)
Total deferred tax liabilities		(192,335	)		(90,624	)
Net deferred tax liability	$	(95,558	)	$	(30,178	)

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

	December 31,
	2020			2019
Unrecognized tax benefits - opening balance	$	5,802		$	4,859
Gross decreases - tax positions in prior period		(96	)		(434	)
Gross increases - current-period tax positions		1,656			1,882
Lapse of statute of limitations		(645	)		(505	)
Unrecognized tax benefits - ending balance	$	6,717		$	5,802